Cyprus proposes no charge on small account holders

Written By Unknown on Selasa, 19 Maret 2013 | 20.25

NICOSIA, Cyprus — Cypriot finance officials are revising a planned financial bailout to relieve small account holders from having to pay a charge on their savings in order to secure an international rescue of the country's troubled banks.

Under a new draft bill discussed in Parliament's finance committee Tuesday, deposits below €20,000 ($25,900) would be exempt from any charge. Those between €20,000-€100,000 would have a 6.75 percent levy imposed, and those above €100,000 would have a 9.9 percent charge.

European officials have said €5.8 billion of the €15.8 billion rescue package must be raised by Cyprus.

The country's central bank governor recommended that no levy be imposed on accounts below €100,000 — the amount that is insured by the government.


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